Uniswap (UNI) has effectively double in price in a week, moving from a low of $4.35 all the way up to $9.86 before experiencing a slight pullback. Its’s price was steadily increasing since 11 Jan, and only started having slight difficulties breaking resistance levels since Jan 16.
Fundamental analysis: Uniswap flips Aave and gets in the DeFi market cap top3
Uniswap is a decentralized trading protocol, most well-known for its role in facilitating automated trading of the popular DeFi tokens. The project aims to improve trading efficiency when compared to decentralized crypto exchanges and compete with centralized exchanges by offering some unique options. Uniswap’s goal is to create more efficiency (and is very successful in doing so so far) by solving liquidity issues with automated solutions.
In Sept 2020, Uniswap created and awarded its governance token, UNI, to its past platform users. This added two great things to the platform: profit-making potential and the ability for its users to shape the future of UNI, which is considered a very important thing in the DeFi sector. UNI’s price increase is caused by its performance in the industry, and is boosted by the overall growth of the DeFi sector. On top of that, the popularity of the platform increased greatly when Uniswap announced an Airdrop of 400 UNI tokens for its platform users.
UNI is still very near its all-time highs as it posted week-over-week gains of 41.29%. When compared to other cryptocurrencies, BTC and ETH both got heavily outperformed, as they managed to lose 4.40% and gain 7.91% over the same period, respectively.
Uniswap is now the 3rd largest DeFi cryptocurrency after passing Aave in market cap, as well as 17th largest cryptocurrency in general, with a market cap of $2.5
